Arranging aged care can be stressful, but when it involves someone who is a farmer, unique circumstances apply. If your loved one is a farmer on his or her own land, would you know how best to help?
Farmers – often a husband and wife team – may continue working well past retirement age because farming isn’t just a business – it’s a life.
As a family business, the farm might be passed down to the next generation so when considering aged care, questions over whether to retain the assets or to sell them can be daunting and emotional. It’s possible that the options available will be limited by the cost and level of care required.
Looking at aged care in general, costs vary considerably and residents may be asked to pay the following:
According to the Australian Government, assets are defined as, “Most of the things you own…” Although different rules apply to properties greater than two hectares of which the owner is putting to effective use, eg. farming. The buildings, equipment, fencing, livestock, etc on the property are considered assets, and their assessment may deem the farmer wealthy, potentially increasing the cost of care.
One of the most pressing issues farmers face when considering aged care is what to do with the business itself. If the decision is made to dispose of the assets by selling or gifting, alternative problems may arise.
A financial planner can help determine the most appropriate course of action while considering the family’s plans for the future of the farm and its assets.
When making arrangements on behalf of an older relative you must ensure that the appropriate Powers of Attorney are in place. Speak to your solicitor, or ask us for a referral.
This is an emotional decision for anyone, but when your home is your work and you’ve worked hard to keep it over generations, deciding what to do next is just that little bit harder.
Have some questions? Want to know how it applies to you? Want a review of your personal situation? Click here to book a Free 15 Minute Discovery Session, give us a call on 1800 577 336, or email us at email@example.com.
Information on this site may be regarded as general advice. That is, your personal objectives, needs or financial situations were not taken into account when preparing this information. Accordingly, you should consider the appropriateness of any general advice we have given you, having regard to your own objectives, financial situation and needs before acting on it. Where the information relates to a particular financial product, you should obtain and consider the relevant product disclosure statement before making any decision to purchase that financial product.